United States Department of Agriculture Reference Number: TX11167-AC

Animal and Plant Health Inspection Service Issuance Date: December 13, 2011
Investigative and Enforcement Services Version: Final

VIA: USPS Certified Mail December 13, 2011

Shipping Event: 1st

Texas Biomedical Research Institute Jean Frazier

P.O. Box 760549 7620 N.W. Loop 410
San Antonio, Texas 78245 San Antonio, TX 78227

SETTLEMENT AGREEMENT

Dear Sir or Madam:

Why You Are Receiving This Letter

We believe that you violated the Animal Welfare Act (7 U.S.C. § 2131 et seq.) (AWA), as
described in the attached Settlement Agreement. Our agency, the Animal and Plant Health
Inspection Service (APHIS), is responsible for enforcing the AWA, and other agriculture laws
that help prevent the spread of animal and plant pests and diseases, and ensure the welfare of
animals.

After providing you with an opportunity for a hearing, we may impose civil penalties of up to
$10,000, or other sanctions, for each violation described in this Settlement Agreement. We are
offering you the opportunity to resolve this matter by paying an amount that is much lower than
the maximum civil penalty.

What You Need To Do Immediately

You should review the information in this Settlement Agreement, including the citation and
notification of penalty.

If you agree to waive your right to a hearing and pay the penalty, then do the following:

o Pay the amount due, $25,714, by January 26, 2012. You can pay by check,
money order, or credit card. For your convenience, we have included additional
instructions for making payments.
 United States Department of Agriculture Reference Number: TX11167-AC
Animal and Plant Health Inspection Service Issuance Date: December 13, 2011
Investigative and Enforcement Services Version: Final

o If you are unable to pay the full amount due by January 26, 2012, you may be
eligible for a payment plan. To request a payment plan, you must use the
enclosed form to submit a written response to this letter by January 26, 2012,
that indicates you wish to pay the penalty and waive your right to a hearing. You
must also submit a copy of your most recent federal tax return. As part of your
response, please include a phone number and an email address so that we may
contact you.

If you do not agree with the terms of this Settlement Agreement, submit a written request
for a hearing, with your Reference Number, to our office by January 26, 2012, at 4700
River Rd., Unit 85, Riverdale, MD, 20737.

If We Do Not Hear From You

If we do not receive a payment or hearing request from you by January 26, 2012, we will
forward this matter to our Office of the General Counsel for litigation.

What To Do If You Need Help

If you have any questions concerning this letter, contact Deborah Press at (301) 734-4969, or call
our main office at (301) 734-8684.

CITATION AND NOTIFICATION OF PENALTY

We believe that you violated the Animal Welfare Act (7 U.S.C. § 2131 et seq.) (AWA), as
described below.

Date of Violation: November 30, 2009

9 C.F.R. § 3.80(a)(2)(iii) Primary enclosures
Your facility failed to construct and maintain enclosures so that they contain
nonhuman primates securely and prevent accidental opening of the enclosures,
including opening by the animal. A juvenile rhesus macaque escaped its enclosure
and spent the night outdoors in cold weather. The animal was euthanized due to its
weakened condition.

Date of Violation: May 10, 2010

9 C.F.R. § 2.131(b)(1) Handling of animals
Your facility failed to handle all animals as expeditiously and carefully as possible in a
manner that does not cause trauma, behavioral stress, physical harm, or unnecessary

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 United States Department of Agriculture Reference Number: TX11167-AC
Animal and Plant Health Inspection Service Issuance Date: December 13, 2011
Investigative and Enforcement Services Version: Final

discomfort. Two baboons escaped an enclosure and injured an employee.

Date of Violation: May 10, 2010

9 C.F.R. § 3.80(a)(2)(iii) Primary enclosures
Your facility failed to construct and maintain enclosures that contain nonhuman
primates securely and prevent accidental opening of the enclosures, including opening
by the animal. The lock design in a nonhuman primate facility allowed two baboons
to escape the immediate enclosure.

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 United States Department of Agriculture Reference Number: TX11167-AC
Animal and Plant Health Inspection Service Issuance Date: December 13, 2011
Investigative and Enforcement Services Version: Final

How To Pay The Penalty

You may pay your penalty immediately through secure online transactions or phone using
American Express, Discover, Diners Club, Master Card, and Visa, or by U.S. Mail using a
check, cashier’s check, or money order.

Online. Pay.gov allows you to make deferred and recurring credit card payments
through secure online payments. To submit your credit card payment online:
1. Log on to https://www.pay.gov.
2. Click on Agency List.
3. Click on “A” in Index.
4. Click on Agriculture Department.
5. Click on Department of Agriculture.
6. Click on Animal and Plant Health Inspection Service – APHIS Customers
(2nd listing).
7. Complete the required information and submit the form.
8. Enter payment information and submit your payment.
9. Print confirmation screen as your receipt.

Phone. To make a credit card payment by phone:

1. Call (612) 336-3253 and speak to a Debt Management Specialist.
2. State your Reference Number TX11167-AC.
3. Submit your credit card information.

U.S. Mail. To make a payment by check, cashier’s check, or money order:

1. Make the check, cashier’s check, or money order payable to the Treasurer of
the United States.
2. Write the Reference Number TX11167-AC on your check, cashier’s check, or
money order.
3. Mail your payment to:
USDA – APHIS – GENERAL TX11167-AC
P.O. Box 979043
St. Louis, MO 63197-9000

If You Are Unable To Pay In Full

Complete the attached form and return it to our office to request a payment plan. Please be
prepared to provide us with copies of your most recent federal tax return so that we may
determine whether you are eligible for a payment plan.

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 United States Department of Agriculture Reference Number: TX11167-AC
Animal and Plant Health Inspection Service Issuance Date: December 13, 2011
Investigative and Enforcement Services Version: Final

AGREEMENT TO PAY AND

REQUEST FOR PAYMENT PLAN

If you agree with the terms in this Settlement Agreement but cannot pay the penalty in full at this
time, select one of the options below, sign the form, and return it to the following address prior
to the due date of January 26, 2012:

USDA, APHIS, IES (General) TX11167-AC

4700 River Road, Unit 85
Riverdale, MD 20737

I understand that by signing this Settlement Agreement, I waive my right to a hearing. I agree to
pay the penalty of $25,714, but I am requesting a payment plan because of financial hardship. I
have enclosed a copy of my most recent federal tax return. I have indicated below if I have
enclosed other documents to show financial hardship:

______Bankruptcy filing

______Other (describe): __________________________________________________

Signature:_______________________________________________Date:__________________

Street Address:_________________________________________________________________

City:______________________________ State: _____ Zip code:________________

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 United States Department of Agriculture Reference Number: TX11167-AC
Animal and Plant Health Inspection Service Issuance Date: December 13, 2011
Investigative and Enforcement Services Version: Final

Case Number: TX11167-AC

Sending Option: USPS Certified Mail

Version: Final

Document Create Date: 10/31/2011

Document Modify Date: 12/13/2011

Issuance Date: 12/13/2011

Author: Deborah Press at (301) 734-4969

CC to IES Regional Directors

and Area Managers: W. Harris, IES, ER
R. Broyles, IES, ER
T. Fordahl, IES, WR
E. Nickerson, IES, WR
J. Rood, IES, ER
S. Santiago, IES, ER
H. Jordan, IES, ER
W. Reinburg, IES, ER
W. Swartz, IES, ER
J. Freeman, IES, WR
K. Kraubner-Lucas, IES, WR
M. McCann, IES, WR
E. Kelpis, IES, WR
L. Carson, IES, WR

CC to Others: R. Gibbens, AC WR;

C. Jones, AC;
M. Smith, IES;
L. Blanton, AC WR;
K. March, AC WR

Final Processing: Ember Smootz

Production Notes: [Production Notes]

T04A Settlement Agreement (10-11)

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Texas Biomedical Research Institute
P.O. Box 760549
San Antonio, Texas 78245